That’s straight out of the “Executive Summary, Arangkada Philippines 2010: A Business Perspective to create a bright future for the Philippines, the 12th most populous country – and probably the 10th or 9th by 2030.
“Arangkada is a guidebook to a better Philippines: (a) with the Per Capita Income (PCI) of a middle-income economy; (b) robust investment levels; (c) better infrastructure; (d) and higher government revenues to pay for social services, especially education and health.
“Reduce absolute poverty by inclusive growth with less malnutrition, crime, and insurgency. And with more rewarding opportunities at home, Filipinos would have less reason to work abroad.”
And here’s the one from NEDA: “AmBisyon Natin 2040 represents the collective long-term vision and aspirations of the Filipino people for themselves and the country in the next 25 years. It describes the kind of life that people want to live, and how the country will be by 2040. As such, it is an anchor for development planning across at least four administrations.
“AmBisyon Natin 2040 is a picture of the future, a set of life goals and goals for the country. It is different from a plan, which defines the strategies to achieve the goals. It is like a destination that answers the way to get to the destination. AmBisyon Natin 2040 is the vision that guides the future and is the anchor of the country’s plans.
“AmBisyon Natin 2040 is the result of a long-term visioning process that began in 2015. More than 300 citizens participated in focus group discussions, and close to 10,000 answered the national survey. Technical studies, to identify strategic options for realizing the vision articulated by citizens, were prepared. The exercise benefitted from the guidance of an Advisory Committee composed of government, private sector, academe, and civil society.”
We’re now in 2020, which means 5 and 10 years have come and gone, and do we know if we’ve moved the needle? But first thing’s first, who is the leadership behind these ambitious plans? If we say it is the JFC and NEDA, should we despair?
The blog has time and again raised how our neighbors did it. If our instincts aren’t parochial and insular, we would know the common denominator of their efforts and successes: “Beg for Western money and technology,” so said Lee and Mahathir to Deng.
That recalls a friend who was then working on her Ph.D. dissertation. And to paraphrase her pitch, she went, “I’m working with a professor to develop my thesis. And we will soon be ready with the outline. I know we are in the same industry. And I want my dissertation to capture the real world. I don’t intend to use it to teach, but I want it to help me advance my knowledge of the industry. Which I know will positively impact my career. I would ask your assistance to guide me. And the first thing I will do is share with you the outline which should be ready very soon.”
Her significant other was a subordinate of the writer – who accepted a two-year stint to organize and lead the sales force of his Eastern European friends. The object was to expand the business beyond their small country and make it a regional and then a global enterprise. She knew the writer was bringing Western technology. And to fast-forward a bit, it also paved the way for a Western financial institution to step forward.
We Pinoys must recognize that there are several ways to tap Western money and technology. Then think of Vietnam becoming the regional hub of Samsung’s technology manufacturing in the region. Many of us looked down on Vietnam until reality hit us – and they are now poised to overtake us, and more amazing is when they do it to Singapore.
We Pinoys aren’t at the sole mercy of oligarchy. They also mirror our parochialism and insularity. That shouldn’t surprise us, given our success model is represented by monopolies and oligopolies. Sadly, collectively, they can’t match Samsung Vietnam, for example. That explains why we’re way down the abyss. Yet, what do we celebrate day-in and day-out in our media?
That is why the blog spoke to intellectual curiosity in recent postings. It is to look outward and forward to challenge long-held and assumed knowledge and beliefs. The world we live in is dynamic, not static.
Yet, even Harvard graduate students can use intellectual curiosity. “In 1997, Jeff Bezos gave a little talk to some Harvard graduate business students about his online store known as Amazon. The large-brained students began to chat among themselves as if Bezos weren’t there. Then, one of the fine Harvardians told Bezos: You seem like a nice guy, so don’t take this the wrong way, but you need to sell to Barnes & Noble and get out now. Naturally, many will chuckle at the realization that Amazon’s position is a touch more secure than Barnes & Noble’s these days.
“But there's one profound lesson here and one that’s truly glorious. When you have a business based on a vision (of the future) and not the present, chances are your critics will be looking from the perspective of the present. They see the ‘now,’ and have an absolute belief how now will influence the future. Sometimes, though, now will be rendered swiftly irrelevant by a fast-moving future. And the future we’re currently living in has moved at far too fast a pace for many people’s liking.” [A Harvard Student Told Jeff Bezos Something No CEO Wants to Hear. Worse Was the Way He Said It, Chris Matyszcyk, Inc., 1st Mar 2020]
And what about leadership? Think Lee, Mahathir, and Deng – not the JFC and NEDA.
But back to the dissertation. The writer redid the outline to highlight the desired outcome: It must be actionable from the standpoint of the Ph.D. candidate and her goal to advance her knowledge of the industry and positively impact her career. In fairness to the professor-adviser, he accepted the revised outline.
There were other instances when the writer shifted the emphasis of a piece of the dissertation. For example, “I never used the Markov algorithm over the decades I did global business – from the subsidiary level to the very top of the house. If presenting such an algorithm makes the thesis look scientific, I will incorporate several caveats borne out of real-world experiences. In other words, Markov was a great mathematician but is not a magic wand.” [Many years later, Jeff Bezos would explain that all he can show to explain the success of Amazon as far as numbers are concerned are the simple math.]
Long story short, today, the couple is based in the West. The gentleman runs the Western European business of the writer’s Eastern European friends, and the lady is the global marketing manager of a famous brand that many of those familiar with the blog must be using.
It’s a small world, a Western brand managed by an individual that was born and raised in the East.
Let’s digress some: In the meantime, the Eastern European friends started a fund in their hometown where their manufacturing facilities are to assist the local community deal with COVID-19 as well as share the aggressive in-house effort they implemented. And media took the cue to encourage the locals to respond in the spirit of community and the common good.
With that said, let’s recall that in earlier postings, the blog spoke to Arangkada as akin to “big data.” Ditto for AmBisyon Natin 2040. The next step is critical; that is, the analytics.
And this is where we are witness to a vast chasm between Arangkada and AmBisyon and the real world.
First, we must recognize the crab mentality that is inherent in Juan de la Cruz. It equates to shortsightedness and our rural character – aka parochialism and insularity. It is a fixed mindset and not a growth mindset.
It explains why we can’t sift through big data and pursue analytics. In Eastern Europe, the writer uses the Great Commandments versus the 613 laws to make the analogy because of their Eastern Christian orthodox heritage.
And from his global business experience, he equates the Great Commandments to these three pillars: (1) Revenues; (2) Margins; (3) Efficiency. They are the imperatives to achieve the desired outcome of an enterprise. To be a positive societal force, an enterprise must attain sustainable growth and replicate a virtuous circle.
And in the 21st century, it must satisfy the metrics of innovation and global competitiveness. Recall that “innovation” is not for innovation’s sake. It must raise the consumer’s well-being. An excellent example for us baby boomers is it must be senior-friendly.
That said, consider our instincts: We are parochial and insular. We value hierarchy and paternalism and rely on political patronage and oligarchy that ours is a culture of impunity.
But let’s relate the above three pillars to Arangkada and AmBisyon to extend the analogy:
(1) The Philippines needs incremental export revenues of $100 billion to at least be like Thailand;
(2) That must be translated to a shortlist of industries and products that will yield the ideal margins so that farmers, for example, will generate handsome returns;
(3) The efforts demand utmost efficiency – i.e., Juan de la Cruz must learn to prioritize and focus.
That is why the initiative of the DTI to develop 42 industry roadmaps needs a serious rethink. It reflects on our crab mentality instead of “the community and the common good.”
Indeed, we must toss much of our instincts. We cannot tolerate incompetence and inefficiency at the national level and then say we must move to a federal system to overcome the problem. That is classic “pwede na ‘yan” and is guaranteed to accumulate and compound our challenges.
We need scale and innovation and global competitiveness. And we’re starting with the wrong foot when we fragment our efforts. Take the comprehensive agrarian or land reform and our fragmented, unproductive and uncompetitive agriculture sector. See the above pillars: revenues, margins, efficiency.
The insanity that Einstein defines is beyond the pale. Yet, we keep doing it. Beyond land reform, think OFW remittances, the BPO industry, and, more recently, POGO. Why? Because we believe that we can make fiscal and monetary policies appreciably drive national income while staying as a service-consumption economy. See above how our neighbors did it to recognize our shortsightedness.
The bottom line: We need quick wins and mirror the Silicon Valley model of rapid prototyping by focusing on one or two industries with products that will win in the global market and yield the requisite margins to ensure their sustainability.
And here, the writer uses another analogy: photosynthesis. If we cannot replicate this ecosystem to support an endeavor, we cannot win in the global market.
That is the secret of MNCs – to drive revenues, margins, and efficiency into an ecosystem akin to nature, as in a virtuous circle.
We’re now in 2020, which means 5 and 10 years have come and gone, and do we know if we’ve moved the needle on Arangkada and AmBisyon? Are we ever closer to a better Philippines?
Gising bayan!
“Why independence, if the slaves of today will be the tyrants of tomorrow? Moreover, that they will be such is not to be doubted, for he who submits to tyranny loves it.” [We are ruled by Rizal’s ‘tyrants of tomorrow,’ Editorial, The Manila Times, 29th Dec 2015]
“Now I know why Paul dared to speak of ‘the curse of the law’ (Galatians 3:13). Law reigns and discernment is unnecessary, which means there is little growth or change in such people. When you do not grow, you remain an infant.” [Faith and Science, Open to Change, Richard Rohr’s Daily Meditation, 23rd Oct 2017]
“As a major component for the education and reorientation of our people, mainstream media – their reporters, writers, photographers, columnists, and editors – have an obligation to this country . . .” [Era of documented irrelevance: Mainstream media, critics and protesters, Homobono A. Adaza, The Manila Times, 25th Nov 2015]
“National prosperity is created, not inherited. It does not grow out of a country’s natural endowments, its labor pool, its interest rates, or its currency’s value, as classical economics insists. [A] nation’s competitiveness depends on the capacity of its industry to innovate and upgrade.” [The Competitive Advantage of Nations, Michael E. Porter, Harvard Business Review, March–April 1990]
“You have to have a dream, whether big or small. Then plan, focus, work hard, and be very determined to achieve your goals.” [Henry Sy Sr., Chairman Emeritus and Founder, SM Group (1924 - 2019)]
“Learning and innovation go hand in hand. The arrogance of success is to think that what you did yesterday will be sufficient for tomorrow.” [William Pollard, 1911-1989, physicist-priest, Manhattan Project]
“Development [is informed by a people’s] worldview, cognitive capacity, values, moral development, self-identity, spirituality, and leadership . . .” [Frederic Laloux, Reinventing organizations, Nelson Parker, 2014]
No comments:
Post a Comment